A friend, who is currently 40 years old, wants to know how much money she will have at retirement if she invests $5,250 every year in a fund that ears 8% per year.
a. List the balance on the account for the first three years of the fund if interest is compounded continuously.
b. Graph the balance on account against time and identify in your own words the relationship between the future value and time if interest is compounded continuously.
c. Compute the future value on her account if she retires at age 60 using the Fundamental Theorem of Calculus. How much additional money will she earn if she delays her retirement for one year without a contribution?
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